NGO FORMATION AND REGISTRATION REQUIREMENT
A Non Governmental Organization is perceived to be an association of persons or a body of individuals. An association of persons with non-profit motive may be registered under any of the following Indian Acts:
A society may be defined as a company or an association of persons united together by mutual consent to deliberate, determine and act jointly for same common purpose. Minimum seven persons, eligible to enter into a contract, can form society. When an NGO is constituted as a society, it is required to be registered under the Societies Registration Act, 1860, which is a federal act. In certain states, which have a charity commissioner, the society must not only be registered under the Societies Registration Act, but also, additionally, under the Bombay Public Trusts Act.
The chief advantage of forming a society are that it gives a corporate appearance to the organization, and provides greater flexibility as it is easier to amend the memorandum and bye laws of the society than in case of trust, terms of which are strictly manifested in the trust deed. However, formation of a society requires more procedural formalities than in case of a trust.
For the purpose of registration, following documents are required to be filed with the registrar of Societies:
a) Covering letter requesting for registration stating in the body of the letter various documents annexed to it. The letter is to be signed by all the subscribers to the memorandum or by a person duly authorised by all of them to sign on their behalf.
b) Memorandum of Association, in duplicate neatly typed and pages serially numbered (no stamp paper required), wherein the aims and objects and mode of management (of the society) should be enshrined
c) Rules and Regulations/Bye-Laws, in duplicate, certified by at least three members of the governing body.
d) An affidavit of the president/Secretary of the society, on a non-judicial stamp paper of prescribed value, stating the relationship between the subscribers, duly attested by an oath commissioner, notary public or 1st class magistrate.
e) Documentary proof such as house tax receipt, rent receipt in respect of premises shown as registered office of the society or no objection certificate from the landlord of the premises.
f) An authority duly signed by all members of the managing committee.
g) A declaration by the members of the managing committee that the funds of the society shall be used only for the purpose of furthering the aims and objects of the society.
Trustees : A Society needs a minimum of seven managing committee members; there is no upper limit to the number managing committee members. The Board of Management is in the form of a governing body or council or a managing or executive committee
There are several companies in India that work towards helping NGOs raise money. NGO Fundraisers is a firm with a difference. Most large organizations have the budget to throw fundraisers and raise funds from the wealthy individuals in the city/country, but there is no organization that targets the smaller NGOs that do not have sufficient funds to run their daily operations. It is here that NGO Fundraisers steps in and aides these organizations through largest pool of funding available in the world – Individual Philanthropy.
NGO Fundraisers is a Private Limited company, incorporated under the India Companies Act, 1956. It is a company that is headquartered in Bangalore. NGO Fundraisers has been constantly trying newer and more innovative methods of raising funds for the deserving organizations that it works with.
Through an ingenious approach devised by the founder Mr. V. Sridhar, NGO Fundraisers has been able to effectively tap into the segment of ‘Individual Philanthropy’ very effectively. There are mnay people who wish to contribute, modest sums of money for a good cause, but are unaware on which agency they must approach for the same purpose. Most importantly, these individuals may not have the time or the inclination to go in search of such agencies. By reaching them directly, this problem is eliminated and hence, the philanthropy of these individuals can be passed onto the organizations that have a requirement for the same.
India is a country of a 100 Crore people. Of this 100 Crore, even if half a percent of these individuals were to contribute an amount equivalent to Rs 2000/- per annum, imagine the amount of funds that can be raised for the needy in this country. It is this kind of a phenomenon that NGO Fundraisers plans to unleash and utilize for the good of people in this country.